Oil prices drop as US proposes 15 point ceasefire plan
Oil prices fell 5 percent on Wednesday following reports of a US ceasefire proposal to Iran. The move comes despite ongoing supply risks in the Middle East.
Global oil prices experienced a sharp decline on Wednesday as diplomatic developments sparked optimism for a potential de-escalation in Middle East hostilities. Reports indicating that the United States has presented a 15-point proposal to Iran aimed at ending the current conflict led to a sell-off, even as Israel and Iranian forces continued to exchange airstrikes.
Brent Crude Oil futures dropped $5.66, or 5.42%, to settle at $98.83 a barrel, after hitting a session low of $97.57. U.S. West Texas Intermediate crude followed a similar trajectory, falling $4.82, or 5.22%, to $87.53 per barrel. These losses erased the nearly 5% gains recorded during the previous session's volatile trading.
